MuniLand: Rising Interest Rates Can Calm the Swaps Nest
June 16, 2015 at 06:30 AM EDT
That buzzing you hear in the municipal market is the swaps nest. In early 2000s, many municipal issuers entered into IR Swap agreements because interest rates had fallen to, at the time, very low levels. The idea was that funding costs would fall as interest rates rose because many municipal...
